Neumora Therapeutics, Inc. (NASDAQ: NMRA)

Sector: Healthcare Industry: Biotechnology CIK: 0001885522
Market Cap 374.54 Mn
P/B 2.83
P/E -1.59
P/S 0.00
ROIC (Qtr) -138.33
Div Yield % 0.00
Rev 1y % (Qtr) 0.00
Total Debt (Qtr) 20.09 Mn
Debt/Equity (Qtr) 0.15

About

Neumora Therapeutics, Inc., with ticker symbol NMRA, is a clinical-stage biopharmaceutical company operating in the neuroscience sector. The company is dedicated to addressing the global brain disease crisis by developing innovative treatments for a wide range of neuropsychiatric disorders and neurodegenerative diseases. Neumora's primary business activities involve the research, development, and commercialization of novel neuroscience therapeutics. The company operates in the United States and leverages its proprietary data science and translational...

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Price action

Investment thesis

Bull case

  • Healthy cash reserves of 129.07M provide 504.18x coverage of short-term debt 256000, demonstrating strong liquidity position and minimal refinancing risk.
  • Robust free cash flow of (208.67M) exceeds capital expenditure of (155000) by 1346.26x, indicating strong organic growth funding capability.
  • Strong tangible asset base of 177.83M provides 8.85x coverage of total debt 20.09M, indicating robust asset backing and low credit risk.
  • Short-term investments of 42.45M provide solid 1.70x coverage of other current liabilities 25.04M, indicating strong liquidity.
  • Tangible assets of 177.83M provide robust 7.10x coverage of other current liabilities 25.04M, indicating strong asset backing.

Bear case

  • Operating cash flow of (208.82M) barely covers its investment activities of 27.07M, with a coverage ratio of -7.71, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of 27.07M provide weak support for R&D spending of 177.31M, which is 0.15x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of (208.82M) shows concerning coverage of stock compensation expenses of 32.37M, with a -6.45 ratio indicating potential earnings quality issues.
  • Operating cash flow of (208.82M) provides minimal -1606.35x coverage of tax expenses of 130000, suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of (235.42M) show weak coverage of depreciation charges of 3.04M, with a -77.31 ratio indicating high capital intensity and potential reinvestment needs.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,446.17 Bn -1,569.17 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 439.23 Bn 6,407.40 88.33 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 120.62 Bn 32.82 10.29 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 84.40 Bn 18.44 5.92 2.71 Bn
5 ALNY Alnylam Pharmaceuticals, Inc. 56.13 Bn 1,288.39 17.49 3.21 Bn
6 ARGX Argenx Se 47.89 Bn 31.79 24,973.95 -
7 BNTC Benitec Biopharma Inc. 42.45 Bn -1,015.00 0.00 0.00 Bn
8 INSM INSMED Inc 32.67 Bn -27.60 73.08 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.52 12.96
EV to Cash from Ops. EV/CFO -1.29 23.73
EV to Debt EV to Debt 13.44 772.65
EV to EBIT EV/EBIT -1.15 -11.30
EV to EBITDA EV/EBITDA -1.11 7.11
EV to Free Cash Flow [EV/FCF] EV/FCF -1.29 22.12
EV to Market Cap EV to Market Cap 0.72 68.89
EV to Revenue EV to Revenue 0.00 199.70
Price to Book Value [P/B] P/B 2.83 22.62
Price to Earnings [P/E] P/E -1.59 -12.30
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -12.02
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 0.17
Dividend per Basic Share Div per Share (Qtr) 0.00 0.01
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -0.15
Interest Coverage Int. cover (Qtr) -315.15 857.11
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 452.27 -27.24
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -53.39 747.06
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 19.80 -48.21
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 21.90 -2.09
EBIT Growth (1y) % EBIT 1y % (Qtr) 19.72 -57.79
EBT Growth (1y) % EBT 1y % (Qtr) 19.47 -14.35
EPS Growth (1y) % EPS 1y % (Qtr) -22.50 -30.88
FCF Growth (1y) % FCF 1y % (Qtr) -13.36 -32.51
Gross Profit Growth (1y) % Gross Profit Growth (1y) % 0.00 227.96
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.14
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 4.99 3.79
Current Ratio Curr Ratio (Qtr) 6.85 7.23
Debt to Equity Ratio Debt/Equity (Qtr) 0.15 0.42
Interest Cover Ratio Int Coverage (Qtr) -315.15 857.11
Times Interest Earned Times Interest Earned (Qtr) -315.15 857.11
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % 0.00 -18,509.94
EBIT Margin % EBIT Margin % 0.00 -18,862.18
EBT Margin % EBT Margin % 0.00 -19,783.19
Gross Margin % Gross Margin % 0.00 -8.62
Net Profit Margin % Net Profit Margin % 0.00 -19,732.60